What is Commission Rate?

The commission rate is the amount of income that’s earned by the affiliate for generating a lead. Commission rates vary depending on the product or service you’re promoting and the type of action that the company or advertising firm wants.

In most cases, commissions are paid for a sale that comes through your affiliate link. It’s often represented as a small percentage of the sale price of said item. Though, completion of signup forms for lead generation and click-through to the merchant’s site is sometimes paid for as well.

The amount of the commission rate is often linked to the value of the product you’re trying to sell. For example, high-ticket items that cost more to the consumer often come with bigger rewards for the affiliate. This is because you will experience fewer sales overall when compared to a lower-priced item that’s high in demand.

Information about the commission rate can be found on your affiliate contract. You must agree to the rate before you sign your agreement.